Juggling Dynamite

Justice to reckless bankers this cycle has been a painfully slow process. The maniacal practices that they perpetrated on families, companies, cities, states and countries in the credit/securitization bubble caused lasting harm to real people and the global economy. The good news is that with a world now sickened by debt, the incredible profit machine for bankers has come to an end. Layoffs and downsizing in the sector are crucial progress underway in this secular consolidation phase. The vampire squids are in retreat at last. This segment offers some worthwhile discussion. Here is a direct link.

If anyone keeps SAC Capital Advisors founder Steven Cohen up at night, it’s Preet Bharara, the U.S. Attorney for the Southern District of New York. Here is a video report.

Also see DOJ Preet’s news conference on the allegations now indicted against SAC. Here is a video report.

The fact that SAC has been allowed to continue in its notorious practices for so long and amass such incredible wealth for its principles and investors who were happy to collect 30% a year without questioning how that was possible, proves that crime does pay in American and makes a long-running mockery of the rule of law and American securities regulation. It will be interesting to see if a conviction flows from the charges. SAC, of course, has the most formidable legal team money can buy.

Bethany McLean, CNBC Contributor, says the U.S. indictment of SAC implies this was a company where compliance was there in name, but not practice. If you believe what the indictment says, this was a place set up to encourage insider trading, she adds. Here is a direct link.